Country Guide
Best Home Insurance in Texas (2026)
Texas homeowners face hurricanes, hail, and tornado risks. Compare top carriers for the best TX rates.
By Itai Varochik | Updated February 21, 2026
Top Exchanges in Texas
| # | Exchange | Best For | Fees | Type |
|---|---|---|---|---|
| 1 | State Farm | Storm coverage | $3,360/yr | — |
| 2 | USAA | Military families | $2,760/yr | — |
| 3 | Allstate | Local agents | $3,720/yr | — |
| 4 | Farmers | Rural properties | $3,840/yr | — |
| 5 | Travelers | Bundle savings | $3,480/yr | — |
Understanding Texas home insurance
Texas homeowners face some of the highest insurance premiums in the nation, driven by severe weather exposure including hail, hurricanes along the Gulf Coast, and tornado activity across the central plains. The Texas Department of Insurance (TDI) regulates all carriers but does not set rates — insurers file rates and can begin using them unless TDI objects within 30 days under the state's "file and use" system.
Coverage requirements and options
| Coverage type | What it covers | Typical cost |
|---|---|---|
| HO-3 (standard) | Dwelling, personal property, liability | $3,500–$4,800/yr |
| HO-A (basic) | Named perils only — common in coastal areas | $2,200–$3,600/yr |
| Windstorm (TWIA) | Wind/hail in 14 coastal counties | $1,800–$5,000/yr |
| Flood (NFIP/private) | Rising water damage — not in standard policies | $700–$2,400/yr |
Key Texas regulations
The Texas Windstorm Insurance Association (TWIA) provides wind and hail coverage for properties in 14 first-tier coastal counties and parts of Harris County where private insurers won't write policies. Homes must pass a WPI-8 inspection to qualify. TDI also requires insurers to offer replacement cost coverage and prohibits automatic policy cancellations without 30 days' written notice.
How to save on Texas home insurance
- Upgrade your roof: Class 4 impact-resistant shingles can reduce premiums by 15–35% depending on the carrier
- Install storm shutters: Wind mitigation features qualify for discounts, especially in coastal zones
- Bundle policies: Combining home and auto with the same insurer typically saves 10–20%
- Raise your deductible: Moving from a $1,000 to $2,500 deductible can cut premiums by 12–18%
- Shop the Texas FAIR Plan: If you've been denied coverage, the FAIR Plan provides basic dwelling coverage as a last resort
- Maintain claims-free history: Most Texas insurers offer 5–15% discounts for 3+ years without claims
Unique Texas considerations
Unlike most states, Texas does not participate in the NFIP's Community Rating System uniformly — flood insurance costs vary dramatically by county. Homeowners in Harris, Fort Bend, and Galveston counties should comparison-shop between NFIP and private flood policies, as private options have become increasingly competitive since 2023. Additionally, Texas law allows insurers to use credit scores in pricing, making credit improvement a viable savings strategy.
Crypto Regulations in Texas
Texas home insurance is regulated by the Texas Department of Insurance (TDI) under a file-and-use rate system. The Texas Windstorm Insurance Association (TWIA) provides wind/hail coverage in 14 coastal counties. Homes must pass WPI-8 inspections for TWIA eligibility. Insurers must offer replacement cost coverage and provide 30 days notice before cancellation. Credit scores may be used in pricing. The Texas FAIR Plan serves as insurer of last resort for denied applicants.